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Step 1
Let the person down easily, but firmly. You don't have to be rude or harsh, but you do need to get your point across so that he does not think there is hope in the future or just at a different time.
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Step 2
Be honest. If you don't think that you have enough in common or if there are some other huge differences that can't be overcome, you must let the person know. It may not be the easiest thing to do, but giving facts might make the rejection more tolerable.
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Step 3
Resist making future promises. While it may be awkward to say no to a person that is right in front of you, don't try to postpone it by telling her that you are busy, but that you'll call her or maybe see her next week. It will only serve to lead her on and give her false hopes.
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Step 4
Respond politely. The person you are saying no to might not take it as well as you hope. You may be subjected to bitter emails or voicemails. The polite thing to do is to respond to the first one, but no more after that.
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Step 5
Tread carefully if they want to remain friends. Often, this is used to keep the relationship door open. Somewhere down the line, he may come back and ask you for a date again and you'll be right back where you started.
